Understand additional insured coverage and requirements, as well as the benefits and pitfalls.

Many parties to commercial transactions enter into contracts which contain indemnification and duty to procure insurance clauses. Although these clauses often provide overlapping protections for negligence and breaches of the insured contract, they are distinct, and parties must understand their differences to obtain optimum risk allocation. A common way to address indemnity and duty to procure insurance obligations is through the use of additional insured designations under commercial general liability and other insurance policies. Securing and documenting the required coverages, however, is a process fraught with risks and misunderstandings if certain best practices are not followed. This topic will explore best practices to mitigate the risks. In addition, the material will address best practices for asserting additional insured claims once a loss arises. Finally, the topic will address several of the most common exclusions to coverage under CGL policies that affect named insureds and additional insureds alike.

Learning Objectives

You will be able to identify certificates of insurance.

You will be able to recognize best practices for asserting AI claims.

You will be able to discuss sources of additional insured coverage.

You will be able to review contractual risk allocation issues on commercial projects.